On November 1, 2079 Lexi Martin established an interior decorating business, Heritage Designs. During the month, Led completed the following transactions related to the business Nov 1 1 6 8 Led transferred cash from a personal bank account to an account to be used for the business in exchange for common stock, 527,500 Paid rent for period of November 1 to end of month, 53.200 Purchased office equipment on account, 512,660 Purchased a truck for $31.700 paying 55,200 cash and giving a note payable for the remainder Purchased supplies for cash, 51.450 Received cash for job completed, 50,400 Pald annual premiums on property and casualty insurance, 52,400 Recorded jobs completed on account and sent invoices to customers. $12,060 Received an invoice for truck expenses to be paid in November 31230 10 12 15 23 24 Enter the following transactions on Page 2 of the two cour journer Nov 29 29 30 30 30 Paid utilities expense, 53,590 Pald miscellaneous expenses, 51.500 Received cash from customers on account 57.400 Paid wages of employees. 54.200 Paid creditor a portion of the amount owed for man purchased on November 100 Puddividends 2200 30 Required 1. Jumtsch transaction in a two-columnal beginning on Pagering to the chance to debited and credited Do not insert the post reference numbers until you have posted the way to the gener/leder af 2) Moth Chart of Accounts for exact wording of accounts 2 post in chronological orded the oumal tools of four.com account inerting role proces on the journal and the ledger as each composed Bytend the balances to the balance contrachanachan posted 3. Prepare ansattedrale for Heritage Design as of November 30, 2019 4. Determine the excess of tot for November 5. Can you think of any reason why the amount determined in might not be there income for November CHART OF ACCOUNTS Heritage Designs General Ledger ASSETS REVENUE 41 Fees Earned 11 Cash 12 Accounts Receivable 13 Supplies 14 Prepaid Insurance 16 Equipment 18 Truck EXPENSES 51 Wages Expense 53 Rent Expense 54 Utilities Expense 55 Truck Expense 59 Miscellaneous Expense LIABILITIES 21 Notes Payable 22 Accounts Payable EQUITY 31 Common Stock 32 Retained Earnings 33 Dividends JOURNAL Score: 273/434 ACCOUNTING EQUATION DESCRIPTION DATE Nov. 1 POSTRE 1 DEST CREDIT Common Stock ASSETS LASIUTIES EQUITY 27600.00 2 1 27.600.00 + 3,200.00 4 1 3,200.00 1 5 12,860.00 6 1 Nov. 1 Cash Nex1 Rent Expense No. 1 Nox 6 Accounts Payable Nov 6 Cash Nov 24 Accounts Payable Nox 24 Uities Expense Cash Nov 29 Miscellaneous Expense Cash 12.560.00 1 2 1.250.00 1 3.590.00 . 4820.00 10 1,500.00 11 . Nov. 30 1.500.00 15,980.00 13 Accounts Receivable + 14 Nox 50 Wages Expense 7,400.00 4.200.00 4200.00 16 Nov. 30 Accounts Payable 6.190.00 . 11 Nox 30 Dividends 2.200.00 19 2.700.00 POE 1 PAGE 2 JOURNAL Score: 273/434 ACCOUNTING EQUATION DATE DESCRIPTION POST RET CREDIT 1 Cash ASSETS DEDIT 27,600.00 LASITIES EQUITY 1 2 Accounts Receivable 7,400.00 1 3 1,480.00 1 4 Supplies Prepaid Insurance Truck + 5 2,400.00 31,700.00 1 6 Accounts Payable Common Stock 1.239.00 27.600.00 1 Fees Earned 11 The Expense LEDGER Score: 0/376 Account: Cash Account No. 11 DATE ITEM POST REF DEBIT CREDIT BALANCE DESIT CREDIT 1 2 3 5 5 2 10 Account Accounts Receivable Account NO 12 Ledger Account Accounts Receivable Account No. 12 DATE ITEM POST. REF: DEST CREDIT BALANCE DESIT CREDIT Account: Supplies Account No. 13 DATE ITEM POST REF DEBIT CREDIT BALANCE DEBIT CREDIT Account Prepaid Insurance Account No. 14 DATE ITEM POST. REF DEBIT CREDIT BALANCE DEUT CREDIT 1 Account: Equipment Account DATE ITEM BALANCE POSTER DEBE CREDIT DET 1 Account Truck Account No. DATE BALANCE POSTE DES GEN CREDIT Account Notes Payable Account No. 21 DATE PONT CREDIT DET Account Accounts Payable Account No. 22 DATE ITEM POST. REF. DEBIT CREDIT BALANCE DEBIT CREDIT Account Common Stock Account No. 31 DATE ITEM POSTER DESIT CREDIT BALANCE DEDIT CREDIT Account: Dividends Account No. 2 DATE ITEM POST RET DEBIT CREDIT BALANCE DERIT CREDIT 1 I Account: Fees Earned Account No. 41 DATE ITEM GRANICE POSTRE DEST CREDIT DEBIT 2 Account: Wages Expense Account No. 51 DATE ITEM POST REF CREDIT DET CLET Instructions Chart of Accounts Journal Ledger HEEL WS TELLIGENCE DATE ITEM POST. REF DEBIT CREDIT BALANCE DEBIT CREDIT 1 Account: Rent Expense Account No. 53 DATE ITEM POST. REF: DEBIT CREDIT BALANCE DEBIT CREDIT Account: Utrities Expense Account No. 54 DATE ITEM POST. REF: DEBIT CREDIT BALANCE DEST CREDIT 1 Account: Truck Expense Account No. 55 DATE ITEM BALANCE POSTE DEBIT CREDIT DES CREDIT Account Miscellaneous Expense Account 5 ITEM POST REF DET BALANCE Question not attempted. Heritage Designs UNADJUSTED TRIAL BALANCE Score: 0/68 November 30, 2049 ACCOUNT TITLE DEBIT CREDIT 1 Cash 2 Accounts Receivable Supplies - Prepaid Insurance 5 Equipment 6 Truck * Notes Payable Accounts Payable 9 Common Stock 10 Retained Eamings 11 Dividends 12 Fees Eamed 11 Wages Expense 14 Rent Expense 15 Utilities Expense 36 Truck Expense 11 Miscellaneous Expense 11 Totals 4 Determine the excess of revenues over expenses for November $ Points 071 Feedback Check My Work Calculate Revenues - Expenses - Net Income 5. Can you think of any reason why the amount determined in (4) might not be the net income for November? Because the dividends are declared but not paid Because the closing inventory balance is missing 13 11 Because necessary adjustment to expenses, like depreciation has not been made Because the cash balance is incorect Points 011